Health Quote by Michael F. Cannon
““In wrestling with this dilemma, many countries are loosening government controls and injecting market mechanisms, particularly cost sharing by patients, market pricing of goods and services, and increased competition among insurers and providers. As Pat Cox, former president of the European Parliament, put it in a report to the European Commission, “We should start to explore the power of the market as a way of achieving much better value for money.”339””
About This Quote
Source Report: European Commission policy paper, 2005
Governments are reducing regulation and using market tools like cost sharing and competition to improve value for money in healthcare.
In simple terms: Governments use market ideas to get better value in healthcare.
Key Takeaway
Consider market mechanisms to boost efficiency.
Themes
healthcare reform
market economics
policy
value for money
Mood
analytical
critical
Type
policy
economic
When to use this quote
- budget planning
- healthcare budgeting
- insurance design
- public policy debates
Key Concepts
cost sharing
competition
pricing
insurer competition
provider incentives
Questions to Reflect On
- How can market reforms ensure fair access?
- What risks arise from cost sharing?
A Different Perspective
Market solutions may overlook equity and access concerns.
![“[Professional politicians] don't mind if price controls cause shortages of health care. In fact, they welcome the prospect, because then they can impose rationing; they can impose priorities, and tell everyone how much of what kind of medical care they can have. And besides, ... there's that…” quote by Murray Rothbard](https://sms4smile.com/quotes/img-quotes/77f/murray-rothbard-1563_care_professional-politicians-don-t-mind-if-p_417620.jpg)
![“One of the biggest reasons for higher medical costs is that somebody else is paying those costs, whether an insurance company or the government. What is the politicians' answer? To have more costs paid by insurance companies and the government. ... [H]aving someone else pay for medical care…” quote by Thomas Sowell](https://sms4smile.com/quotes/img-quotes/a7c/thomas-sowell-247_answers_one-of-the-biggest-reasons-for-higher-me_1496072.jpg)
